Study and Improvement of the Mechanism for Ensuring the Financial Stability of "Kumpel Kraft-Kiltse" LLC
Students Name: Lavrynenko Yevhen Olehovych
Qualification Level: magister
Speciality: Business, Trade and Exchange Activities
Institute: Viacheslav Chornovil Institute of Sustainable Development
Mode of Study: full
Academic Year: 2022-2023 н.р.
Language of Defence: англійська
Abstract: Lavrynenko E.O., Kucher L.Yu. (head). Research and improvement of the mechanism for ensuring the financial stability of Kumpel Craft Ring LLC. Master’s qualification work. - Lviv Polytechnic National University, Lviv, 2022. Extended abstract. The process of managing the financial stability of the enterprise is one of the most important functional areas of the financial management system, which has strong connections with other management systems and is naturally included in the system of management of income and expenses, movement of capital, assets and cash flows, management of the capital structure, indicators of solvency and liquidity, profitability, business activity, other aspects of its activity. In the field of the restaurant business, financial stability is one of the main prerequisites for the stable and successful operation of the enterprise. If the enterprise is financially stable, and solvent, it has several advantages over other enterprises of the same profile, for example, when obtaining loans, attracting investments, when choosing suppliers, and when selecting qualified personnel. The higher the financial stability of the enterprise, the more independent it is from unexpected, sudden, unpredictable changes in the market situation and has lower risks of bankruptcy. Taking into account the latest trends in the operation of restaurant business enterprises during the period of quarantine restrictions and martial law conditions, which can rather be characterized as «business survival», the problem of ensuring the financial stability of the enterprise is quite acute, which today should be considered from a different angle and have a relevant vector direction. That is why the improvement of the mechanism of ensuring the financial stability of the restaurant business is one of the most important problems of financial management today. The object of the study is the financial stability of Kumpel Kraft-Kiltse LLC. The subject of the study is a set of theoretical and methodological principles and practical aspects of improving the mechanism for ensuring the financial stability of Kumpel Kraft-Kiltse LLC. The purpose of the master’s thesis is to study the financial stability of Kumpel Craft Ring LLC and generalize the theoretical and methodological aspects of improving the mechanism for ensuring financial stability. In the master’s qualification work, a review of scientific and educational, and methodological literature was carried out regarding the essence of financial stability and the need for its assessment; the main signs of the financial stability of the business entity are reflected; it was established that financial stability is expressed by a system of relative and absolute indicators. The main indicators of the enterprise’s activity were analyzed, in particular: a comparative analysis of the report on financial results, and an assessment of the liquidity of the balance sheet was carried out. A detailed analysis of financial stability was carried out, namely, the type of financial stability of the enterprise was determined according to the degree of supply of stocks and expenses with sources of financing, a comprehensive indicator of the financial stability of the enterprise was determined, it was established that «Kumpel Craft Ring» LLC is in a state of crisis. Also, in the master’s thesis, based on my research, theoretical approaches to the formation of the mechanism for ensuring the enterprise’s financial stability were considered. A mechanism for ensuring the financial stability of Kumpel Craft Ring LLC has been developed, which will contribute to more efficient use of borrowed funds and the attraction of external sources of financing thanks to the use of financial management tools. Keywords: financial stability, financial condition, financial analysis, mechanism, a mechanism for ensuring financial stability, improvement. List of used literary sources. 1. V. S. Petrenko (2015). Assessment and ways to improve the financial condition of the enterprise. International scientific journal, 8, 139-142. 2. Sarapina O. A. (2012). System analysis of enterprise’s financial state: methods and improvementreatmentnt. Herald of Agrarian Science of the Black Sea Coast, 2, 47-58. 3. Bogatska N. M. (2013). The financial condition of the enterprise and ways to improve it in the business processes of the enterprise. Young scientist, 2(02), 12-16. 4. Luchko M.R., Zhukevich S.M. & Farion A.I. (2013). Financial analysis: a study guide. Ternopil: TNEU. 5. Batchenko, L.V., Honchar, L.O., & Beliak, A.O. (2020). Features of formation of the mechanism of maintenance of financial stability of the enterprises of sphere of hospitality: theoretical and methodological aspect. Financial levers of the socio-economic mechanism of interaction of economic entities of different types and spheres of activity. Kherson: Vyd. dim «Helvetyka». 6. Batchenko, L.V., Honchar, L.O., & Beliak, A.O. (2020). Formuvannia mekhanizmu finansovoi stiikosti pidpryiemstv sfery hostynnosti: orhanizatsiino-ekonomichnyi analiz. Pidpryiemnytstvo i torhivlia, (27), 13–20.